FILE PHOTO: A Yukos oil well is seen at sunset near the Russian northern city of Nefteyugansk, December 19, 2004 in this file photo. REUTERS/Sergei Karpukhin/File Photo
Reuters: Russia says oil price war with U.S. would be too costly
DAVOS, Switzerland (Reuters) - Russia should not unleash an oil price war against the United States but rather stick with output cuts even at the cost of losing market share in the medium term, one of the main Russian architects of a production pact with OPEC said.
Since 2017, Russia and OPEC have cut oil production jointly for the first time in an effort to boost the price of crude. Following their supply pact, oil has traded between roughly $60 and $85 per barrel, from below $30 before the deal took effect.
“For U.S. shale production to go down, you need oil prices at $40 per barrel and below. That is not healthy for the Russian economy,” Kirill Dmitriev, head of the state-backed Russian Direct Investment Fund, said on Wednesday.
Read more ....
WNU Editor: We would be living in a very different world if it was not for U.S. shale production.
